200000
200000
No, but it states not to hoard
Here's a file that includes information about changes in average retirement income over time: http://www.ebri.org/pdf/publications/books/databook/DB.Chapter%2006.pdf. Check out this recent article about "the retirement dream": http://moneyfeatures.blogs.money.cnn.com/2009/07/31/can-we-save-the-retirement-dream/ I know that many baby boomers now retiring do not have much, if any, money saved for retirement. On top of that, Social Security will in no way be enough to help the average person survive.
It is an extremely useful tool as not only will it give you a guide to how much you will have saved, but also, you can work backwards and see how much you need to save to have as much you would like to have in retirement.
How much you should save for retirement depends on a lot of factors such as how much income do you want in retirement and will you have other sources of income in retirement such as pensions or part-time employment. Tax considerations and planned charitable giving should also be considerations. A number of finance websites offer retirement planning calculators. Yahoo offers this "How Much Will I Need To Save For Retirement?" calculator (can be found at http://finance.yahoo.com/calculator/retirement/ret02) which may be a good starting point.
You should put away at leasy 10% of everything you make. How much you will need will depend on when you retire.
In order to find out how much money that you need to invest in retirement so you can have a good sized amount saved, you must actually attempt to do the math yourself, ask a financial advisor, or actually try to use the Fers retirement calculator.
There are varying opinions on how much one should save for their retirement pension. According to studies done by Aeon Hewitt, one should have at least 11 times their pay set aside by the time they retire.
To be financially responsible you must consider how you are going to support yourself during retirement. Since you won’t be working and will likely have large medical expenses in the future, properly planning for retirement is extremely important. When planning for retirement, many different considerations need to be made. The first consideration to be made is how much money you will need to retire. To figure this out, most financial advisors tell their clients to expect that they will need between 80% and 85% of their pre-retirement income to retire comfortably. This means, the average person who makes $100,000 per year will need $85,000 per year (adjusted for inflation) during retirement. Now that you know how much you need per year, you can better understand how much you need to have saved. Retirement planning experts suggest that you have 20 to 25 years worth of spending money saved at retirement. Assuming the person from above has no other means of income; they will need between $1.7 million and $2.125 million saved before they can retire. If the person from above receives social security or a pension, then they amount they need to save will be far less. For example, if they expect to earn $25,000 per year in retirement from a guaranteed source of income, they will only need to earn $60,000 per year from their personal investments. This reduces their required savings to $1.2 million to $1.5 million. While this number can seem staggering, you must keep in mind that you have your whole career to save for this amount. However, the earlier you start retirement planning, the better off you will be. To reach their retirement goals, most people should plan on investing between 10% and 15% of their gross income into a retirement account as soon as they start working. Assuming an individual earns a market average return of 7% and 8% per year for 35 to 40 years, they should have plenty of money saved for retirement.
well the average American makes $35,000-$75,000
How much electrical energy does the average American require per day ? How much electrical energy does the average American require per day ?
Yes, savings account definitely has to do with financing. It basically determines how much money you have saved up for your retirement, and with it, you need to be able to finance it.